This Toolkit is now deprecated and is now

The Windows Azure Toolkit for Windows Phone provided developers with the first iteration of support for building backend services for Windows Phone apps using Windows Azure. The main areas of feedback we received from mobile developers was that they
wanted a turn-key set of services for common functionality such as notifications, auth, and data.
Windows Azure Mobile Services directly reflects this feedback by enabling developers to simply provision, configure, and consume scalable backend services. The downloads for this toolkit will be removed on the week of Feb 1st 2013 and all future improvements
will be channeled into Windows Azure Mobile Services rather than this toolkit.

To get started with Mobile Services,
sign up for a Windows Azure account and receive 10 free Mobile Services.

This section describes the software requirements for running this toolkit.

Software Requirements

You must have the following components installed to run the project templates and the sample solutions included in this toolkit:

Note:
The Configuration Wizard included with this toolkit is used to check the dependencies and install the VSIX files with the project templates.To launch it, browse to the root installation folder, and double-click
Setup.cmd.

Comments

To install the Windows Phone SDK 7.1 you need Visual Studio 2010 SP1 installed.Also, you need to use Web Platform Installer 3.0, not the current 4.0! Otherwise the dependancy checker will fail, as well as the whole installation.